The Recent Volatility of Bitcoin: Causes and Investor Psychology
Over the last month, the Bitcoin market has experienced a series of partial fluctuations that have both excited and concerned investors. Bitcoin's dip below the $60,000 mark followed by a swift recovery effort has once again highlighted the impact of global macroeconomic factors, regulatory news, and market sentiment on cryptocurrencies. These fluctuations prove that the volatility of digital assets is a permanent feature, while also offering crucial insights into the dynamics that drive the market.
Macroeconomic Pressures and Interest Rate Expectations
One of the most significant triggers for Bitcoin's recent fluctuations was global macroeconomic uncertainty. Specifically, inflation figures in the US exceeded expectations, and the timeline for the Federal Reserve to cut inte...